The Second Amendment to the Tax Administration Bill Introduced to Parliament

The People’s Majilis, on 20 August 2019, conducted the first reading of the proposed Bill for the Second Amendment to the Tax Administration Act. The Amendment is set to introduce several new changes to the tax administration, and enforcement mechanisms, and addresses some key issues that were identified over the past nine years.

Hulhudhoo Constituency Member, Mr. Ilyas Labeeb presented the bill to the members of parliament, and focused on some key areas under the proposed amendments – term limits for the Commissioner General of Taxation, encouraging information exchange between MIRA and other state institutions, and changes to appeal provisions allowing taxpayers to proceed with an appeal after paying thirty percent of the assessed amount were among some of the changes that were highlighted. Kendhoo Constituency Member, Uz. Ali Hussain also lauded the changes proposed in the bill, intimating that the changes make way to easier access to justice, and a fairer tax administration regime in the Maldives.

Members of parliament who spoke on the proposed changes, generally welcomed the positive changes to the law proposed in the bill. Past experiences, by some members of parliament, had shown that the current form of the tax administration regime had led to the use of the tax authority as a political tool used for political coercion, and suppression. The Bill on the Second Amendment to the Tax Administration Act was accepted by the People’s Majilis, by a vote of 72 members in favor, and was sent to the economic committee for further review.

Photo Credits: David Stanley / flickr